Global Think Tank Releases ‘Readiness Is New Green’ Study On Black Beauty Entrepreneurs

A new study is painting a brighter picture of the state of Black beauty entrepreneurs and brands. Ready to Beauty has released a new study, “Readiness Is The New Green,” providing insight into how Black and Latinx consumers’ demands for social justice and reform have impacted sales, marketing, and readiness for growth. 

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While Black businesses have historically faced greater disparities when it comes to financing, resources, and access, the study shows that the current climate (and possibly increased access to grants) has made Black brands “more optimistic” and “better prepared than the general market panel to withstand an economic disruption.“

Ready to Beauty, a global think tank comprised of beauty execs and veterans, partnered with the Fashion Institute of Technology, Cosmoprof North America, NielsenIQ, and American Express to survey more than 70 Black beauty brands and founders for the 60-page report.

“Anecdotally, I knew the coronavirus (COVID-19) pandemic was an economic gut-punch to Black/​African-American businesses at large,” said Corey Huggins, founder and managing director of Ready to Beauty in a recent statement. “But I wanted to know specifically its effect on beauty businesses of color, especially after the #BlackLiv­esMatter protests and all the on-going calls for economic restruct­uring.”

Nearly 80% reported increased sales despite the pandemic, with 20% reporting more than 75% increase. In addition, while more than 89% reported they did not have a contingency plan for economic disruptions prior to the pandemic, 59% now feel better prepared for future disruptions.

Despite the added funding boosts, the picture isn’t all roses. The businesses echoed previous disparities, with 92% reporting more reforms are need for investment and working capital for Black entrepreneurs, along with mentoring and business management access (77%), and increased pathways to distribution (74%).

“I want all the economic changes that are now being batted around to be substantive and long-lasting,” added Huggins, who will use the study to fuel an ongoing series of studies and position papers over the next few year. “And I know real economic change can only be achieved on a base of real economic data. Conseque­ntly, I decided to draw that baseline in the sand, and have my think tank field the foundational economic research for multicultural beauty.”

For more information or to view a summary of the study, head on over to readytobeauty.com.